Tuesday, November 01, 2016

Emerging Markets Put In A Sell/Short Signal Today (EWZ, EEM, ILF)

Brazil ETF EWZ and Latin America ETF ILF have both put in strong sell/short signals today. I'm not surprised that it happened, just surprised it happened at all. Both have been on a strong tear since I entered long signals at the end of September but I had no idea that the ascent would be this strong. What's quietly terrifying though is the condensing triangle in the Emerging Markets ETF EEM which bearishly crossed over on the EMA's today and had a sell signal start three days ago after a little whip-sawing around. I expect EEM, ILF and EWZ to all fall and eventually find support at the MA(144).